rising price and volume on nzx, page-29

Bmission : - "The perfect fit for a PPP takeover is AWE
with a cash and stock mix then on to NZO
any thoughts on that senario ??? "

I don't like that scenario Bmission aminly because it would spoil my hopes for NZOG.

While nothing is impossible in the acquisitions and mergers game I have my doubts about your suggestion.

First : I think that if AWE had any ambitions along those lines then it would surely have moved long before this.

Second : I think that NZOG's 15 % strategic stake in PPP would make it difficult for AWE to launch a hostile bid for PPP. I doubt that NZOG would want AWE making a bid for PPP for fear of the consequences for itself.

Third : I think there are advantages for AWE in having a NZ oiler as a partner and therefore also as someone to pay some of the exploration costs. Would AWE really be keen on increasing its share of the TUI area from the present approx 44 % to some 56 % or more and pay all those additional costs for drilling the new wells ?

Fourthly I think that there are still strong links between NZOG and PPP and the relationship there could be more cordial than some would imagine. Maybe I am wrong on that issue.

Someone obviously thinks that there is to be some action on that PPP front sooner or later judging by the renewed activity in PPP shares especially on the NZX.